§ Mr. L. SCOTT
asked the Financial Secretary to the Treasury whether manufacturers in this country who use duty-paid syrups and sugar are only allowed drawback on molasses intended for the feeding of stock at 5s. 8½d. per cwt., whereas, if they could export it, they would receive 11s. 8d. per cwt., provided the sweetening matter exceeded 50 per cent.; whether, owing to Government restrictions and abnormal trading conditions, the export trade in molasses has been paralysed, so that the only market for molasses is for feeding-stuff purposes; and whether sugar refiners working in bond, and therefore not requiring to ask for any drawback, are able 2034W to sell their molasses for feeding-stuff purposes at a price which puts the out-of-bond refiners at so great a disadvantage on their drawback, at the rate of 5s. 8½d. per cwt., as to put them entirely out of competition?
§ Mr. BALDWIN
The rate of drawback on molasses used solely for the purpose of food for stock was fixed by reference to the fact that normally only low-grade molasses containing a comparatively small proportion of sweetening matter are used for this purpose. As regards the rate of drawback on export, I would point out that drawback at the rate of 11s. 8d. a cwt. is only paid in the case of molasses containing less than 70 per cent. and more than 50 per cent. of sweetening matter, the rate in the case of molasses containing less than 50 per cent. being 5s. 8½d., the same as is paid in the case of molasses used for food for stock. If my hon. and learned Friend will let me have particulars of any case or cases that he has in mind, I will gladly consider them.